The Industrial and Commercial and Workers’ Union Ghana, (ICU) has lauded the government’s decision to abandon plans to merge Agricultural Development Bank (ADB) and the National Investment Bank (NIB).

The General Secretary of the ICU Ghana Mr Solomon Kotei who gave the commendation at a press conference in Accra yesterday stated that the two banks especially the NIB have performed their core mandates creditably over the years.

He said the announcement of the merger sent a negative signal among management, staff and clients which in itself was eloquent testimony that the decision was unpopular and unacceptable.

Mr Kotei therefore called on the government to recapitalise the two banks in accordance with the Bank of Ghana’s new minimum capital requirement and also restructures the management and board of NIB to enable them to deliver effectively to meet the expectation of all stakeholders.

“The ICU-Ghana, as the mother union of the unionised staff of NIB, was equally disturbed at the gloomy prospect of NIB merging with ADB,two giant banks with completely different core mandates,’’ he added.

The General Secretary said with the collapsed banks- the UNI bank, Beige Bank, Soveriegn Bank, Royal Bank and Construction Bank now Consolidated Bank with its accompanying disadvantage of job losses and the truncation of clientele businesses, the ICU wrote to the Minister of Finance and Economic Planning to rescind the decision.

He said companies such as Nestle Ghana Limited; Nexans Kabel Metal came into being on the wings of NIB.

The General Secretary appealed to all quasi-government institutions and other business organisations that have closed their accounts with NIB to return as they were assured of safe and secured business.

‘’We are told that, twenty-two out of 34 banks in the country have met the new minimum capital requirement of GH¢400 million, which means that the fate of the remaining 12 bank hangs in the balance,” he added.

He urged governmnment to give a prior notice to banks concerned and the public to the fate of the remaining 12 banks who would have not been able to meet the minimum recapilitasation requirement to forestall any further shock in the banking sector.

Mr Kotei called on the government to maintain the independence of the two national banks and advocate investigations on all alleged improprieties levelled against the management and the board to get all the negative issues.

He urged the Bank of Ghana inspectorate division to ensure that their work along the external auditors were not compromised, adding that issues of non-publication of accounts was a major concern that was affecting the fortunes of the bank.